SAN FRANCISCO, June 13, 2016 (GLOBE NEWSWIRE) -- The following statement is being issued by Hagens Berman Sobol Shapiro LLP:
To: All persons or entities who purchased or otherwise acquired securities of La Quinta Holdings Inc. (NYSE:LQ) (“La Quinta” or the “Company”) between February 25, 2015 and September 17, 2015.
You have until June 24, 2016 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
If you suffered $100,000 or more in losses in La Quinta, contact Hagens Berman Sobol Shapiro LLP partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, emailing LQ@hbsslaw.com or visiting https://www.hbsslaw.com/cases/LQ.
The litigation concerns Defendants’ statements about the impact of lower oil prices on La Quinta’s business and disruptions from transitioning its call center.
On February 4, 2015, CEO Wayne B. Goldberg assured investors that lower oil prices were good for La Quinta’s business. In April, La Quinta completed a secondary public offering in which its largest stockholder, The Blackstone Group L.P., sold 23,862,500 shares of La Quinta common stock to the public for $550.8 million.
Then on September 17th La Quinta announced that Goldberg suddenly stepped down. It also reduced 2015 financial guidance – the second time in two months – because of lower oil prices. In response, La Quinta’s common stock price declined more than 15% to close at $16.05 per share on September 18, 2015.
Jim Cramer, host of CNBC’s Mad Money television program stated “[O]ne of the main reasons we liked La Quinta was because Goldberg was so bullish on his repeated appearances here on Mad Money. [W]henever there were concerns about the Company, he'd show up and reassure us that there was nothing to worry about. Now Goldberg is gone for who knows what reason and it’s turning out that reassurance were a lot less credible than they had seemed.”
“Defendants’ assurances were clearly undermined by then-existing facts,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding La Quinta, Inc. should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email LQ@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national investor-rights law firm headquartered in Seattle, Washington with offices in 10 cities. The Firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the Firm and its successes can be found at www.hbsslaw.com. Read the Firm’s Securities Newsletter, and visit the blog. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.